Santander, a prominent mortgage lender, has disclosed that over 20% of its first-time homebuyers in the current year are above the age of 40, with the eldest borrower being 70 years old.
Due to escalating house prices and evolving life circumstances, individuals are finding themselves having to delay purchasing their first property until later in life. This trend is leading to a growing number of first-time buyers carrying mortgages well into their older years.
Recent data from Santander indicates a significant increase in older first-time buyers capturing a larger segment of the mortgage market. In 2025, 22% of first-time buyers were over 40 years old, compared to 18% in the previous year.
While the average age of first-time buyers has been inching closer to 40, there has been a notable surge in individuals over the age of 60 entering the property market for the first time, marking a 14% rise from the previous year.
The oldest first-time buyer recorded by Santander this year was 70 years old, up from 67 in 2024. The bank sets a maximum lending age of 75 for capital and interest repayment mortgages and 70 for interest-only mortgages.
Conversely, there has been a decline in the proportion of younger buyers aged 25 and under over the past year, dropping by almost a quarter from 2024 to 2025. Despite this trend, the youngest first-time buyer in 2025 was 18 years old.
David Morris, head of homes at Santander, commented that realizing the dream of homeownership is achievable at any age. Regulatory changes have bolstered buyer confidence, making home ownership more attainable through various means such as family gifts, inherited wealth, or diligent long-term saving.
However, Morris noted a widening gap between younger and older generations in the pursuit of first-time home ownership, attributed to factors like stamp duty changes and limited housing supply. Lenders typically impose an upper age limit on mortgage eligibility, often aligned with the borrower’s age at the end of the mortgage term, which can extend up to 95 years in some cases.
While securing a first-time mortgage at an older age is feasible, lenders may impose restrictions on extending the mortgage term to accommodate lower monthly payments if needed.